Resource Allocation Framework (RAF)

In September 2005, the GEF Council adopted the Resource Allocation Framework (RAF), a new system for allocating GEF resources to recipient countries.

Under the RAF, from 2006 through 2010, resources were allocated to countries based on their potential to generate global environmental benefits and their capacity, policies and practices to successfully implement GEF projects.

Better targeting of GEF resources was expected to increase their impact on the global environment. The RAF built on GEF’s existing country-driven approach and partnerships with GEF Implementing and Executing Agencies, and provided countries with increased predictability in the financing available from the GEF.

The GEF has not been the only institution to use a resource allocation system. Other similar systems are in place at other international financial institutions, such as the World Bank’s International Development Association (IDA) and the International Fund for Agricultural Development (IFAD).

RAF implementation began in July 2006 and applied to resources for financing biodiversity and climate change projects through the 4th replenishment of the GEF.

During the replenishment period there was an initial indicative resources allocation for each country, publicly disclosed at the outset of each replenishment period. These allocations have been adjusted every two years (RAF mid-term reallocation) to reflect changes in each country’s capacity and potential to deliver global environmental benefits.

A variety of channels, including country consultations, fact sheets and FAQs, have been used to inform stakeholders at the country, regional and global levels about the RAF. All eligible countries had access to resources to support enabling activities and projects in the biodiversity and climate change focal areas. Each country worked with the GEF Agencies to develop project proposals to be financed from its indicative allocation.

GEF resources available outside the RAF

Countries could receive GEF financing for projects in the other focal areas (international waters, land degradation, ozone layer depletion, and persistent organic pollutants), cross-cutting capacity building projects, the Small Grants Programme (which finances smaller projects that encourage wider participation by civil society), and through regional and global projects.

RAF evaluation

After two years of implementation, the GEF Evaluation Office undertook an independent mid-term review of the RAF. The RAF has been also evaluated at the end of GEF-4 as part of an independent Overall Performance Study of the fourth replenishment period of the GEF (OPS4).